WA Market Update – 3/08/2018

Another really positive week out in the growing regions with the latest couple of cold fronts carrying moisture through all parts of the wheatbelt. The ‘north-centric’ weather pattern continued but thankfully this time the southern zone also got some moisture. Most regions recorded between 10 – 25mm, which is helping maintain the good moisture profile. It now feels like the western parts of the Albany and Kwinana zones would welcome some sunshine and as a general comment there isn’t a desperate need for rain in too many places.

Markets continued to hold a firmer tone through the week with futures moving higher on tightening global supplies due to increased production concerns in a number of key growing regions globally, namely the Black Sea and EU. The risk to the downside in the near term remains cowed, particularly now that it seems the risks of the US/China trade war have been fully priced into markets. Old crop cash bids were modestly higher but most of the action was in the new crop markets where bids moved higher. There continues to be strong demand for feed grains.